2 Bedroom House, Redwood Close, Northgate, Crawley
If you’re looking for a freehold investment property rather than a flat, take a look at this 2 bedroom house in Redwood Close, Northgate, Crawley. The house has just come on to the market with estate agents King & Chasemore for Offers Over £240000. From the marketing photos the property looks to be in very good condition and includes a garage to the rear, accessed through the back garden. Here’s the Rightmove link if you want to take a closer look http://www.rightmove.co.uk/property-for-sale/property-40042080.html?premiumA=true
The agents are planning an Open House on Saturday 27th February, so if you’re interested give them buzz and put it in your diary !
Estate agents usually advise their clients (i.e. the sellers) about the buying positions of any potential purchasers. As a property investor, hopefully with your finances already sorted, you should therefore be in a good buying position if you wish to proceed.
However, please don’t forget to factor in the proposed stamp duty hike for buyers of 2nd properties, which “kicks-in” (in more ways than one !) at the start of April this year. If you can complete on your purchase before 1st April, you will pay at the standard Stamp Duty Land Tax (SDLT) rates on the purchase price. If, however, completion were to take place on or after 1st April, you’ll have to add another 3% in SDLT ! At present it is believed that the additional 3% SDLT can be offset against future capital gains when you sell (see, for example, http://www.thisismoney.co.uk/money/buytolet/article-3333949/The-buy-let-stamp-duty-tax-trick-landlords-sleeve.html) . However, do bear in mind that governments have a nasty habit of “moving the goal posts”, particularly when it comes to tax. In other words, even if in theory you can claim back the additional SDLT now, there is no guarantee the rules won’t be changed in future.
So that’s the bad news, what about the good news ? Let’s have a look at the rental yield.
Properties like the one we’re considering here let for between £1025pcm & £1150pcm. Indeed, we let one back in September 2015 at £1025pcm. Assuming that you could secure the purchase at £240000, the range of rents we’ve quoted would give yields of between 5.1% & 5.75%. In our opinion yields of this size are very respectable indeed for the Crawley property market.
If you’re looking for further property investments in and around the Crawley area, or perhaps you’re looking at Buy-to-Let for the first time, why not give us a call on 01293 515588. We have many years of experience in the Crawley property market and, what’s more, our advice comes for free. Alternatively, you can always drop us an e-mail to crawley@northwooduk.com.
The Crawley Property Blog 